Well friends of steemit as I had said before, I will give a lot of educational content for investments in the financial markets, we will start with a very important sailing pattern, it is a pattern of change of trend, it is called enveloping guideline or engulfing bullish.
We can identify it in the following way, we must always take into account that the price is in a support area, a correction or retraction, first a small black body with its small shadows is formed, then a long white candle with wicks is formed small that wraps the body of the previous candle.
It means that after a bearish trend appears the first real black body with a small body that means that the bearish forces are weakening the next day they still have strength to open the next candle below the previous blackbody, but the bullish forces they manage to corner the bearish forces and begin to take terrain by closing over the real black body of the previous candle.
It should only be taken into account that the white candle surrounds the black body of the previous candle while the longer the white candle is the better.
As I mentioned earlier, the bullish envelope patterns are more reliable if they occur in the fibonacci support or retracement zone.
In case the third candle closes below the surrounding white candle this pattern would be invalid and would follow the downward trend.
the larger the white candle and the smaller the black candle the surrounding pattern would be more effective and for its confirmation it is necessary that the next candle closes above the white candle.
I hope you like the content and the things you want and have a question that is not a support that is a trend do not forget that they do not have comments to take into account the content of my next blog.
Greetings and success!